CPO settled down -0.38% at 525.7 on weak demand for the palm oil and on oversupply woes. Demand on domestic and global front is subdued which weighed on the prices. India crude palm oil imports in December jumped 8.7% on year to 691,740 tons compared to 636,113 tons a year earlier. Meanwhile, the recent hike in India’s import tax of processed palm oil products to 10% from 7.5% has resulted into higher demand for Crude palm oil from India as the refining process is encouraged to be done domestically to save costs, pushing the prices of palm oil futures higher. Exports of Malaysian palm oil products for Jan 1-15 fell 28 percent to 460,248 tons, from the last corresponding period of the last year - cargo surveyor Intertek Testing Services. Malaysia, the world's No.2 palm oil producer, has kept its crude palm oil export tax for February unchanged at 5 percent, a government circular showed. India crude palm oil imports in December jumped 8.7% on year to 691,740 tons compared to 636,113 tons a year earlier. India increased import duties on refined edible oils, including palm oil, to 10 percent from 7.5 percent to protect local oilseed growers and refiners against cheaper supplies from major exporters. Technically market is under fresh selling as market has witnessed gain in open interest by 7.84% to settled at 1636 while prices down -2 rupee, now CPO is getting support at 525.2 and below same could see a test of 524.6 level, And resistance is now likely to be seen at 526.7, a move above could see prices testing 527.6.

Trading Ideas:

CPO trading range for the day is 524.6-527.6.

Crude palm oil ended with losses on weak demand for the palm oil and on oversupply woes.

Demand on domestic and global front is subdued which weighed on the prices.

India crude palm oil imports in December jumped 8.7% on year to 691,740 tons compared to 636,113 tons a year earlier.

Crude palm oil prices in spot market dropped by 3.00 and settled at 521.30 rupees.